Over the last few years, you could say that sponsorships in English football are getting talked about a lot more. Of course, it’s big news when a club or player gains or loses deals. And, as we have seen most recently with Chelsea, you could also suggest that big changes are afoot where sponsorship agreements are concerned within the English game.
Before we discuss any potential changes, it’s important to stress how vital sponsorship arrangements have been, especially after events led to a temporary suspension of the game in 2020. Sponsorships in English football, where clubs are concerned, are crucial at bringing in revenue, with streams having been depleted in the last couple of years.
What sponsorships also allow for is spending. Commercial agreements will offset expenditure because of the financial fair play system, allowing teams to spend on transfers, wages, etc. Clubs such as Manchester United, Manchester City and Liverpool rely heavily on the agreements they have in place to allow them to fund the recruitment of elite-level footballers.
It’s not just football clubs that benefit from sponsorship deals, either. UEFA, who run competitions such as the Champions League and Europa League, are backed by partners such as a subsidiary of gaming and sports betting giants Entain. The money pumped in is good news for those who go on to win tournaments, as it will allow for more significant financial gains. And, it’s not just those who receive sponsorship that benefit. Entain, through casino site PartyCasino, has also used the momentum to branch out into Formula 1.
As we mentioned above, however, we could be arriving on a new stage where sponsorships in English football are concerned, and many will suggest it’s for the better. There are a couple of reasons for this, but the most current is the ongoing events in Ukraine. As a result, clubs in England and worldwide have cancelled agreements with companies originating from or connected to Russia. And it’s unlikely that they’re unlikely to be rekindled at any point in the future.
Another element in play is the ongoing human rights situation in the Middle East. While there are football clubs in England owned by people from countries in the region, there continues to be a desire to prevent sponsorship agreements from being struck moving forward. There was a temporary freeze put in place in 2021, which was backed by all Premier League outfits apart from Newcastle United and Manchester City, two clubs financed by Middle East money.
So, the new stage is set to be one where agreements are scrutinised by the powers that be, with the aim being that activities such as sport washing, where sport such as English football is used to clean the reputation of a country, company, person, etc., will not be allowed. Following this path will enable the game to hold onto its integrity and promote good.
